OTHEREXTENDED

Township of Scugog AgendaPacket General Purpose and Administration Committee 2026-06-01

Scugog Extends OLG Municipal Service Agreement to 2032

More than $5,500,000 over 5-year extension period; $1,105,586.08 paid in 2025; expected $1,126,677.24 in 2026; base annual fee $874,620 indexed annuallyTownship of ScugogONTARIO LOTTERY AND GAMING CORPORATIONJune 1, 2026

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Description

The Township of Scugog is extending its Municipal Service Agreement with the Ontario Lottery and Gaming Corporation to continue providing road maintenance, fire, and emergency response services supporting the Great Blue Heron Casino. The extension runs from April 1, 2027 to March 31, 2032, with expected payments exceeding $5.5 million over the five-year term, indexed annually to inflation. Council authorization will allow execution of the extension agreement and related documents.

Contract Details

Contract Amount

More than $5,500,000 over 5-year extension period; $1,105,586.08 paid in 2025; expected $1,126,677.24 in 2026; base annual fee $874,620 indexed annually

Vendor

ONTARIO LOTTERY AND GAMING CORPORATION

Agency

Township of Scugog, Canada

Contract Type

OTHER

Document Date

June 1, 2026

Contract Term

Initial term January 1, 2018 – March 31, 2027; extended term April 1, 2027 – March 31, 2032, with options for further 5-year extensions

Renewal Date

2032-03-31

Renewal Info

Original Services Agreement effective January 1, 2018 with an initial term to March 31, 2027 and unlimited 5-year extension options at OLG’s sole discretion, subject to a fee and services review at least 60 days before term expiry. In 2026, OLG exercised an extension option via an Extension Agreement, extending the term to March 31, 2032 on the same terms, including the escalation clause (greater of 1.5% or CPI) and provisions for further extensions.

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